Sri Lanka took their second win of the Asia Cup 2014 in thrilling fashion as they defeated India by two wickets with four balls to spare in game four in Fatullah.

After opening the tournament with a 12-run win over Pakistan, they followed it up with a successful run chase, but it needed Thisara Perera and Ajantha Mendis to see them home after Kumar Sangakkara had earlier made 103.

Shikhar Dhawan (94) just missed out on a century as India posted 264 for nine, following that up with an impressive bowling performance to almost clinch the win.

Mohammad Shami and Ravindra Jadeja took three wickets to reduce Sri Lanka to 216 for seven before Sangakkara, Perera and Mendis did enough to see them home.

Kushal Perera also scored 64 at the top of the order while Virat Kohli (48) fell two runs short of extending his run of scoring four consecutive Asia Cup scores of at least a half-century.

Mendis, who struck five runs in two balls, took four for 60 while fellow spinner Sachithra Senanayake returned three for 41.

No match between India and Pakistan could ever be described as anything other than a 'must-win' encounter, but in the context of the tournament, with both sides now suffering a defeat apiece, Sunday's meeting takes on added significance.

Leaders Sri Lanka are next in action when they play Afghanistan on Monday.